Honda Plant Tapukara Rajasthan

After having a fantastic turnaround in 2013 with the Amaze clocking in huge volumes for the company, Honda is planning to setup a new Research and Development (R&D) centre in India near its existing plant in Greater Noida to develop affordable cars for the country. The company has seen a growth prospective in the Indian market and are revitalising their plans to expand in the country.

The facility termed as Honda Genbetsu India (HGID) will come at an initial investment of Rs. 500 crores. The new R&D centre would work towards developing cars for the local market with extensive usage of locally manufactured components. The new facility will extend support to the company’s localization strategy for its existing models, as well as provide design support for the upcoming India specific models in the long term. Honda already operates a components and parts business in India and the new R&D centre would be the Japanese manufacturer’s third venture in the country.

Honda’s diesel 1.5-litre i-DTEC engine worked wonders for its products and now the company wants to replicate the success formula on the upcoming models as well. Honda had the global premiere of the all new City saloon in India last year, and that showcases how serious the company is about its operations in the sub-continent. The automaker showcased the upcoming Mobilio MPV and the next generation Jazz hatchback at the 2014 Auto Expo earlier this month, which will be launched in the country later this year.

Honda says it will expand its operations towards more India oriented products in the coming years. The upcoming Vision XS-1 compact SUV could see a lot of components being developed by the new R&D centre. The Japanese firm managed to outsell Tata Motors and Toyota in January with 15,714 cars sold; thrice than what it managed last year in the same period.

2014 Honda City Studio Shot